Key Takeaways
Fed’s change in stance following the 25bps rate hike sets the stage for bitcoin.
The mid-term view is confirmed, but some chop in the short run is anticipated.
Ethereum is setting up for the next leg up, it will clearly outperform bitcoin.
What are we missing for the next leg up?
Why should we care about the Fed? All you need to know is that today’s 25bps is most likely the last one (pause coming), which is exceptionally bullish for bitcoin.
In other words, J Powell paved the way for $35k. The question remains, what will trigger the leg up and when will it happen?
We are more likely to hit $35k before we hit $25k with the current state of the system. The risk of a pronounced drop is somewhat low - Bitcoin Risk Signal is below 25.
The last time the Risk Signal came from the high-risk zone and fluctuated within the elevated-risk zone (0 - 25), the price set up for explosive moves. All we need now is for the Risk Signal to drop to 0.
Now that the $35k outlook is crystal clear, what are we missing?
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